Earnings Per Common Share

12 Months Ended

Dec. 31, 2013

Earnings Per Share [Abstract]

Earnings Per Common Share

Earnings Per Common Share

The following table presents the computation of basic and diluted earnings per common share for the years ended December 31:

(Dollars in millions, except per share amounts)	2013			2012			2011
Net income	$	2,136		$	2,061		$	1,920
Less:
Preferred stock dividends(1)	(26		)	(29		)	(20		)
Dividends and undistributed earnings allocated to participating securities(2)	(8		)	(13		)	(18		)
Net income available to common shareholders	$	2,102		$	2,019		$	1,882
Average common shares outstanding (in thousands):
Basic average common shares	446,245			474,458			492,598
Effect of dilutive securities: common stock options and common stock awards	8,910			6,671			3,474
Diluted average common shares	455,155			481,129			496,072
Anti-dilutive securities(3)	1,855			5,619			2,382
Earnings per Common Share:
Basic	$	4.71		$	4.25		$	3.82
Diluted(4)	4.62			4.20			3.79

⁽¹⁾ Amount for 2012 included $8 million related to Series C preferred stock issued in August 2012. Remaining amount for 2012 and amount for 2011 were related to Series A preferred stock, which was redeemed in October 2012.

⁽²⁾ Represented the portion of net income available to common equity allocated to participating securities; participating securities, composed of unvested restricted stock and director stock awards, contain non-forfeitable rights to dividends during the vesting period on a basis equivalent to dividends paid to common shareholders.

⁽³⁾ Represented common stock options and other equity-based awards outstanding but not included in the computation of diluted average shares, because their effect was anti-dilutive.

⁽⁴⁾ Calculations reflect allocation of earnings to participating securities using the two-class method, as this computation is more dilutive than the treasury stock method.